M&G Global Emerging Markets Equity fund due 5 Feb

M&G is rolling out a Global Emerging Markets Equity fund with a focus on valuation over economic growth.

The fund will hold between 50-70 stocks and invest across a range of countries, sectors and markets. Benchmarked against the MSCI Emerging Markets index, the fund's investment objective is top-quartile returns in the Global Emerging Markets peer group and the

Vaight and Godfrey believe value created by companies, rather than economic growth, is the key to making money and current conditions enable investors to access these undervalued companies.

They say: "Evidence shows that the countries with the fastest economic growth have delivered the worst stockmarket performance. We believe there is a simple explanation for this - investors have a habit of overpaying for growth. The good news for investors is that emerging markets have been savagely de-rated and there are plenty of well managed businesses available at bargain prices. It's an ideal environment for the discerning stockpicker."

The fund will be launched on 5 February with a minimum investment of £500 for lump sum payments, or £10 per month for regular savings. Initial commission is 3% and trail commission 0.5%.

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